Friday, April 30, 2010

Update: Status of 2010 Affiliate Nexus Legislation

As we reported on March 9, New York-style “Amazon” affiliate nexus legislation was introduced in the 2010 legislative sessions of multiple states.  Even as the North Carolina Department of Revenue has introduced a program intended to entice retailers to register for sales and use tax purposes under its existing affiliate nexus statute (see our recent post for further discussion of the issue), other states are moving closer to adopting similar laws.  At the same time, affiliate nexus legislation has died, for this legislative season at least, in several states.  Here’s an update with regard to such legislation in a number of states:

Moving Forward:
  • Connecticut: Bill favorably reported out of committee with recommendation that it “ought to pass”
  • Minnesota: Committee hearing on bill scheduled for April 20
  • Tennessee: Bill recommended for passage by Tax Subcommittee of Ways & Means, but Tennessee Department of Revenue has indicated that it does not believe mere affiliate relationship would be adequate for nexus
In Committee:
  • California: Last action (re-referral to Committee on Appropriations) was April 28, 2010
  • Illinois: Last action (referral) was March 19, 2010

Dead (it appears) for 2010:
  • Iowa: General Assembly adjourned without acting on the bill
  • Maryland: General Assembly adjourned without the bill getting out of committee
  • Mississippi: Bill died in committee
  • New Mexico: Bill tabled
  • Vermont: Ways and Means Committee voted not to include affiliate nexus measure in tax legislation
  • Virginia: Affiliate nexus legislation tabled in committee
UPDATE, Aug. 31, 2008:  Please see our most recent post concerning the status of the California Bill here


    1. Governor Quinn of Illinois has signed HB3659. HB3659 will require out-of-state retailers with Illinois affiliates who refer at least $10,000 in sales from Illinois purchasers to collect and remit sales tax. The tax collection and remittance requirements will go into effect on July 1, 2011.

    2. Thanks - you can read one of several of our posts about the Illinois bill here.

      There will also be another post on the topic later today.